Adani Group-owned Ambuja Cements and ACC are bleeding at the bourses on Wednesday, a day after the group resolved the two-month-long deadlock in Himachal Pradesh. The fall today can be linked to the continuing rout that is being experienced by all of the group’s listed companies.
What Happened: The two companies can be said to have been relatively less impacted by the short-selling storm that engulfed the group after the Hindenburg report came out. ACC shares have slumped over 20% since the report came out, while Ambuja Cement is down around 30%. The downfall while massive is still relatively better than some other group company stocks that have tanked over 50% since the Hindenburg allegations surfaced.
A reason for their resilience can be that brokerages have remained positive on the stock. After Ambuja Cements posted impressive Q3 numbers several domestic brokerage firms upgraded the stocks rating. Both ICICI Securities and Axis Securities upgraded the stock’s rating to ‘buy’ from ‘hold’. HDFC Securities also upgraded the stock’s rating from ‘reduce’ to ‘add’.
Analysts also remain bullish on ACC. HDFC Securities and ICICI Direct both have a buy rating on the stock as they see an upside of over 35%.
Price Action: Shares of Ambuja Cements were down 4.94% to trade at ₹335.45, ACC shares slumped 4.31% to ₹1,749 in the late hours of trading on Wednesday.
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